JK Lakshmi Cement Q3 net profit drops by 66%

Expenses rose to Rs 473.89 cr during the quarter due to rise in fuel and freight costs

JK Lakshmi Cement today reported 66% dip in standalone net profit for October-December quarter at Rs 14.09 crore on higher fuel and freight costs.

The company, having around six million tonnes per annum cement-making capacity, had clocked Rs 41.24 crore net profit in the corresponding quarter a year earlier, it said in a BSE statement
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"The result reflects subdued demand scenario prevailing in the country as a result of poor economic growth. Cement can not remain in isolation from what is happening in country's economy," Shailendra Chouksey, Whole-time Director, JK Lakshmi Cement said.

Total income of the company also rose to Rs 502.58 crore from Rs 493.68 crore a year earlier.

Expenses also rose to Rs 473.89 crore during the quarter from Rs 429.62 crore a year ago period. This is mainly because of the rise in fuel and freight costs.

Fuel costs went up by Rs 13 crore to Rs 104.39 crore while freight costs went up by Rs 16 crore to Rs 120.35 crore.